According to World Health Organization, worldwide, every year, more than 12 million people are killed in accidents and more than 500 million people are injured. In this research work, we have designed a context aware wireless sensor system to detect and locate road accidents in real-time. Context acquisition is performed using onboard sensors suchas accelerometer, gyroscope, flex sensor and sensors from Smartphone such as accelerometer, microphone, GPS etc. A learning algorithm is proposed to perform context modeling, inference, and context-based action initiation. Participatory sensing techniques are integrated with the proposedsystem to ensure system enhancement and reduce false alarms.